Defense Federal Acquisition Regulation Supplement: DoD Mentor-Protégé Program (DFARS Case 2023-D011), 20874-20877 [2024-06005]
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20874
Federal Register / Vol. 89, No. 59 / Tuesday, March 26, 2024 / Rules and Regulations
U.S.-made, qualifying country, or
designated country photovoltaic
devices.
(c) Country in which a designated
country photovoltaic device was wholly
manufactured or was substantially
transformed. If the estimated value of
the photovoltaic devices to be utilized
under a resultant contract exceeds
$102,280, the Offeror’s certification that
such photovoltaic device (e.g., solar
panel) is a designated country
photovoltaic device shall be consistent
with country of origin determinations
by the U.S. Customs and Border
Protection with regard to importation of
the same or similar photovoltaic devices
into the United States. If the Offeror is
uncertain as to what the country of
origin would be determined to be by the
U.S. Customs and Border Protection, the
Offeror shall request a determination
from U.S. Customs and Border
Protection. (See https://www.cbp.gov/
trade/rulings.)
(d) Certification and identification of
country of origin. [The Offeror shall
check the block and fill in the blank for
one of the following paragraphs, based
on the estimated value and the country
of origin of photovoltaic devices to be
utilized in performance of the contract:]
(1) No photovoltaic devices will be
utilized in performance of the contract,
or such photovoltaic devices have an
estimated value that does not exceed the
micro-purchase threshold.
(2) If more than the micro-purchase
threshold but less than $100,000—
ll(i) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a
domestic photovoltaic device;
ll(ii) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a
qualifying country photovoltaic device
[Offeror to specify country of
originlll]; or
ll(iii) The foreign (other than
qualifying country) photovoltaic devices
to be utilized in performance of the
contract are the product of lll.
[Offeror to specify country of origin, if
known, and provide documentation that
the cost of a domestic photovoltaic
device would be unreasonable in
comparison to the cost of the proposed
foreign photovoltaic device, i.e., that the
price of the foreign photovoltaic device
plus 50 percent is less than the price of
a comparable domestic photovoltaic
device.]
(3) If less than $100,000—
__(i) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a
domestic photovoltaic device;
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__(ii) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a
qualifying country photovoltaic device
[Offeror to specify country of origin___
]; or
__(iii) The foreign photovoltaic
devices to be utilized in performance of
the contract are the product oflll.
[Offeror to specify country of origin, if
known, and provide documentation that
the cost of a domestic photovoltaic
device would be unreasonable in
comparison to the cost of the proposed
foreign photovoltaic device, i.e., that the
price of the foreign photovoltaic device
plus 50 percent is less than the price of
a comparable domestic photovoltaic
device.]
(4) If $100,000 or more but less than
$102,280—
__(i) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a
domestic photovoltaic device;
__(ii) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a Free
Trade Agreement country photovoltaic
device (other than a Bahraini, Korean,
Moroccan, Panamanian, or Peruvian
photovoltaic device) or a qualifying
country photovoltaic device [Offeror to
specify country of originlll]; or
__(iii) The offered foreign
photovoltaic devices (other than those
from countries listed in paragraph
(d)(4)(ii) of this provision) are the
product of lll. [Offeror to specify
country of origin, if known, and provide
documentation that the cost of a
domestic photovoltaic device would be
unreasonable in comparison to the cost
of the proposed foreign photovoltaic
device, i.e. that the price of the foreign
photovoltaic device plus 50 percent is
less than the price of a comparable
domestic photovoltaic device.]
(5) If $100,000 or more but less than
$174,000—
__(i) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a
domestic photovoltaic device;
__(ii) The Offeror certifies that each
photovoltaic device to be utilized in
performance of the contract is a Free
Trade Agreement country photovoltaic
device (other than a Bahraini,
Moroccan, Panamanian, or Peruvian
photovoltaic device) or a qualifying
country photovoltaic device [Offeror to
specify country of originlll]; or
__(iii) The offered foreign
photovoltaic devices (other than those
from countries listed in paragraph
(d)(5)(ii) of this provision) are the
product of lll. Offeror to specify
country of origin, if known, and provide
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documentation that the cost of a
domestic photovoltaic device would be
unreasonable in comparison to the cost
of the proposed foreign photovoltaic
device, i.e., that the price of the foreign
photovoltaic device plus 50 percent is
less than the price of a comparable
domestic photovoltaic device.]
(6) If $174,000 or more, the Offeror
certifies that each photovoltaic device to
be used in performance of the contract
is—
__(i) A U.S.-made photovoltaic
device; or
__(ii) A designated country
photovoltaic device or a qualifying
country photovoltaic device. [Offeror to
specify country of originlll.]
[FR Doc. 2024–06006 Filed 3–25–24; 8:45 am]
BILLING CODE 6001–FR–P
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
48 CFR Chapter 2
[Docket DARS–2023–0037]
RIN 0750–AL84
Defense Federal Acquisition
Regulation Supplement: DoD MentorProte´ge´ Program (DFARS Case 2023–
D011)
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Final rule.
AGENCY:
DoD is issuing a final rule
amending the Defense Federal
Acquisition Regulation Supplement
(DFARS) to implement a section of the
James M. Inhofe National Defense
Authorization Act for Fiscal Year 2023
that permanently authorizes and
modifies the DoD Mentor-Prote´ge´
Program.
DATES: Effective March 26, 2024.
FOR FURTHER INFORMATION CONTACT: Ms.
Jeanette Snyder, 703–508–7524.
SUPPLEMENTARY INFORMATION:
SUMMARY:
I. Background
DoD published a proposed rule in the
Federal Register at 88 FR 73306 on
October 25, 2023, to implement section
856 of the James M. Inhofe National
Defense Authorization Act (NDAA) for
Fiscal Year (FY) 2023 (Pub. L. 117–263).
Section 856 transferred section 831 of
the NDAA for FY 1991 (Pub. L. 101–
510) to 10 U.S.C. 4902 and authorized
the DoD Mentor-Prote´ge´ Program on a
permanent basis. Section 856 also
extends the term for program
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participation and removes the term
limitation for mentors to incur costs
under mentor-prote´ge´ agreements
entered into after December 23, 2022.
Section 856 does not apply to mentorprote´ge´ agreements entered into prior to
December 23, 2022. One respondent
submitted a public comment in
response to the proposed rule.
II. Discussion and Analysis
DoD reviewed the public comment in
the development of the final rule. A
discussion of the comment is provided,
as follows:
A. Summary of Significant Changes
From the Proposed Rule
There are no significant changes from
the proposed rule.
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B. Analysis of Public Comment
Comment: One respondent
recommended the rule be amended to
allow a prote´ge´ to have more than one
mentor at a time, as long as the mentors
are not competitors and do not have any
conflicts of interest. The respondent
indicated that this would align with the
Small Business Administration (SBA)
Mentor-Prote´ge´ Program (MPP), which
allows a prote´ge´ to have two mentors at
the same time.
Response: This rule implements
section 856 of the NDAA for FY 2023,
which is codified at 10 U.S.C. 4902.
Paragraph (c)(2) of 10 U.S.C. 4902
indicates that a prote´ge´ firm may not be
party to more than one mentor-prote´ge´
agreement concurrently. This means
that a prote´ge´ may have only one
mentor during the term of an agreement.
Therefore, the proposed change is
inconsistent with the statute. However,
because the statute allows a prote´ge´ firm
to participate in the DoD MPP for a 5year period beginning on the date the
prote´ge´ firm enters into its first mentorprote´ge´ agreement, a prote´ge´ may have
more than one mentor during the 5-year
period as long as the prote´ge´ is not a
party to more than one mentor-prote´ge´
agreement at a time. For example, if a
prote´ge´ firm enters into a 2-year mentorprote´ge´ agreement with a mentor, then
the prote´ge´ firm could enter into
another mentor-prote´ge´ agreement with
a different mentor after the conclusion
of the first agreement, as long as it did
so within the 5-year period and the
second agreement does not extend
beyond the 5-year period from date the
prote´ge´ firm entered into its first
mentor-prote´ge´ agreement. As such, a
prote´ge´ firm under the DoD MPP may
still benefit from having more than one
mentor during its participation in the
program.
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C. Other Changes
Minor editorial changes are made in
appendix I, section I–106.
III. Applicability to Contracts at or
Below the Simplified Acquisition
Threshold (SAT), for Commercial
Products (Including Commercially
Available Off-the-Shelf (COTS) Items),
and for Commercial Services
This final rule amends the clause at
DFARS 252.232–7005, Reimbursement
of Subcontractor Advance Payments—
DoD Pilot Mentor-Prote´ge´ Program, to
remove the word ‘‘Pilot’’ from the clause
title. However, this final rule does not
impose any new requirements on
contracts at or below the SAT, for
commercial products including COTS
items, or for commercial services. The
clause will continue to not apply to
acquisitions at or below the SAT, to
acquisitions of commercial products
including COTS items, and to
acquisitions of commercial services.
IV. Expected Impact of the Rule
This final rule implements the
permanent authorization of and
statutory amendments to the DoD
Mentor-Prote´ge´ Program. The purpose of
the program is to provide incentives to
DoD contractors to furnish eligible small
business concerns with assistance
designed to—
(1) Enhance the capabilities of small
business concerns to perform as
subcontractors and suppliers under DoD
contracts and other Federal Government
contracts and subcontracts; and
(2) Increase the participation of small
business concerns as subcontractors and
suppliers under DoD contracts, other
Federal Government contracts, and
contracts with commercial entities.
Therefore, this final rule will benefit
small business concerns that participate
in the program by extending the
opportunity to enter into DoD MentorProte´ge´ agreements and extending the
term of the agreements. This final rule
is also expected to benefit large entities
and DoD by expanding the defense
industrial base.
V. Executive Orders 12866 and 13563
Executive Orders (E.O.s) 12866 and
13563 direct agencies to assess all costs
and benefits of available regulatory
alternatives and, if regulation is
necessary, to select regulatory
approaches that maximize net benefits
(including potential economic,
environmental, public health and safety
effects, distributive impacts, and
equity). E.O. 13563 emphasizes the
importance of quantifying both costs
and benefits, of reducing costs, of
harmonizing rules, and of promoting
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flexibility. This is not a significant
regulatory action and, therefore, was not
subject to review under section 6(b) of
E.O. 12866, Regulatory Planning and
Review, as amended.
VI. Congressional Review Act
As required by the Congressional
Review Act (5 U.S.C. 801–808) before an
interim or final rule takes effect, DoD
will submit a copy of the interim or
final rule with the form, Submission of
Federal Rules under the Congressional
Review Act, to the U.S. Senate, the U.S.
House of Representatives, and the
Comptroller General of the United
States. A major rule under the
Congressional Review Act cannot take
effect until 60 days after it is published
in the Federal Register. The Office of
Information and Regulatory Affairs has
determined that this rule is not a major
rule as defined by 5 U.S.C. 804.
VII. Regulatory Flexibility Act
A final regulatory flexibility analysis
has been prepared consistent with the
Regulatory Flexibility Act, 5 U.S.C. 601,
et seq. and is summarized as follows:
This final rule is necessary to
implement section 856 of the James M.
Inhofe National Defense Authorization
Act (NDAA) for Fiscal Year (FY) 2023
(Pub. L. 117–263). Section 856
transferred section 831 of the NDAA for
FY 1991 (Pub. L. 101–510) to 10 U.S.C.
4902 and authorized the DoD MentorProte´ge´ Program on a permanent basis.
Section 856 also extends the term for
program participation and removes the
term limitation for mentors to incur
costs under agreements entered into
after December 23, 2022. The objective
of this rule is to implement the
permanent authorization of the DoD
Mentor-Prote´ge´ Program and to make
other Program changes.
No significant issues were raised by
the public comment in response to the
initial regulatory flexibility analysis.
The number of new DoD MentorProte´ge´ agreements entered into in FY
2021 was 50, with a total of 104 active
agreements; in FY 2022, 29 new
agreements were entered into, with a
total of 62 active agreements; and in FY
2023, 19 new agreements were entered
into, with a total of 69 active
agreements. The average number of new
agreements entered into during the last
three fiscal years was approximately 33,
with an average of 78 total active
agreements per fiscal year. DoD
estimates 44 new agreements will be
entered into in FY 2024, with a total of
76 active agreements in place. As of
January 5, 2024, there are 62 unique
small entities with active agreements.
Since the number of small entities that
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Federal Register / Vol. 89, No. 59 / Tuesday, March 26, 2024 / Rules and Regulations
will enter into new agreements is
unknown, DoD cannot provide a more
precise estimate of the number of small
entities to which this rule will apply.
This final rule does not impose any
new reporting, recordkeeping, or other
compliance requirements for small
entities.
DoD did not identify any significant
alternatives to the rule that would
accomplish the stated objectives of the
statute and that would minimize the
significant economic impact of the rule
on small entities. DoD does not expect
this rule to have a significant economic
impact on small entities. Any impact is
expected to be beneficial.
VIII. Paperwork Reduction Act
The Paperwork Reduction Act (44
U.S.C. chapter 35) applies to this final
rule. However, these changes to the
DFARS do not impose additional
information collection requirements to
the paperwork burden previously
approved by the Office of Management
and Budget (OMB) under OMB Control
Number 0704–0332, DoD Pilot MentorProte´ge´ Program.
List of Subjects in 48 CFR Parts 219,
232, and 252 and Appendix I to
Chapter 2
Government procurement.
Jennifer D. Johnson,
Editor/Publisher, Defense Acquisition
Regulations System.
Therefore, 48 CFR parts 219, 232, and
252 and appendix I to chapter 2 are
amended as follows:
■ 1. The authority citation for 48 CFR
parts 219, 232, and 252 and appendix I
to chapter 2 continues to read as
follows:
Authority: 41 U.S.C. 1303 and 48 CFR
chapter 1.
[Amended]
219.7103–1
[Amended]
5. Amend section 219.7103–1 by
removing ‘‘Pilot’’.
■
219.7103–2
[Amended]
6. Amend 219.7103–2 in paragraph (b)
by removing ‘‘Pilot’’.
■ 7. Amend section 219.7104 by
revising paragraphs (b) and (d) to read
as follows:
■
219.7104 Developmental assistance costs
eligible for reimbursement or credit.
*
*
*
*
*
(b) Before incurring any costs under
the Program, mentor firms must
establish the accounting treatment of
developmental assistance costs eligible
for reimbursement or credit. For mentorprote´ge´ agreements entered into prior to
December 23, 2022, to be eligible for
reimbursement under the Program, the
mentor firm must incur the costs not
later than September 30, 2026.
*
*
*
*
*
(d) For mentor-prote´ge´ agreements
entered into prior to December 23, 2022,
developmental assistance costs incurred
by a mentor firm not later than
September 30, 2026, that are eligible for
crediting under the Program, may be
credited toward subcontracting plan
goals as set forth in appendix I. For
mentor-prote´ge´ agreements entered into
on or after December 23, 2022,
developmental assistance costs that are
eligible for crediting under the Program
may be credited toward subcontracting
plan goals as set forth in appendix I.
PART 232—CONTRACT FINANCING
[Amended]
8. Amend section 232.412–70 by
removing ‘‘Pilot’’.
■
2. Revise the heading for subpart
219.71 to read as follows:
PART 252—SOLICITATION
PROVISIONS AND CONTRACT
CLAUSES
Subpart 219.71—DoD Mentor Prote´ge´
Program
■
■
3. Revise and republish section
219.7100 to read as follows:
■
219.7100
Scope.
This subpart implements the DoD
Mentor-Prote´ge´ Program (referred to as
the Program) authorized under 10 U.S.C.
4902. The purpose of the Program is to
provide incentives for DoD contractors
to assist prote´ge´ firms in enhancing
their capabilities and to increase
participation of such firms in
Government and commercial contracts.
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9. Amend section 252.232–7005 by
revising the section heading and clause
heading and date to read as follows:
252.232–7005 Reimbursement of
Subcontractor Advance Payments—DoD
Mentor-Prote´ge´ Program.
*
*
*
*
*
Reimbursement of Subcontractor Advance
Payments—DoD Mentor-Prote´ge´ Program
(Mar 2024)
*
*
*
*
*
10. Amend appendix I to chapter 2
by—
■ a. Revising the appendix heading.
■
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b. In section I–100, revising paragraph
(a) introductory text.
■ c. In section I–102—
■ i. In paragraph (a)(3)(i), removing
‘‘$100 million’’ and adding ‘‘$25
million’’ in its place;
■ ii. In paragraph (a)(3)(ii), removing
‘‘or’’;
■ iii. In paragraph (a)(3)(iii), removing
the period and adding ‘‘; or’’ in its place;
and
■ iv. Adding paragraph (a)(3)(iv).
■ d. Revising and republishing section
I–103.
■ e. In section I–106—
■ i. Revising paragraph (d)(1)(ii); and
■ ii. Adding paragraph (d)(6)(vi).
■ f. In section I–107, revising paragraph
(k).
■ g. In section I–108, in paragraph (a)(5),
removing ‘‘2 years’’ and adding ‘‘3
years’’ in its place.
■ h. In section I–109, in paragraph (b),
removing ‘‘Pilot’’.
■ i. In section I–111, in paragraph (a),
removing ‘‘Director, OSBP’’ and adding
‘‘Director, OSBP, OUSD(A&S) or the
Director, OSBP’’ in its place.
■ j. In section I–112.2—
■ i. Revising the section heading;
■ ii. Removing paragraph (a)(3); and
■ iii. Redesignating paragraph (a)(4) as
paragraph (a)(3).
The revisions and additions read as
follows:
■
4. Amend section 219.7101 by
removing ‘‘Pilot’’.
■
232.412–70
PART 219—SMALL BUSINESS
PROGRAMS
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219.7101
Sfmt 4700
Appendix I to Chapter 2—Policy and
Procedures for the DoD Mentor-Prote´ge´
Program
I–100 Purpose
(a) This appendix implements the DoD
Mentor-Prote´ge´ Program (referred to as the
Program) authorized under 10 U.S.C. 4902.
The purpose of the Program is to provide
incentives to DoD contractors to furnish
eligible small business concerns with
assistance designed to—
*
*
*
*
*
I–102 Participant Eligibility
(a) * * *
(3) * * *
(iv) Is otherwise capable to assist in the
development of prote´ge´ firms and is
approved by the Director OSBP, OUSD(A&S).
*
*
*
*
*
I–103 Incentives for Mentors
Mentors incurring costs through September
30, 2026, pursuant to a mentor-prote´ge´
agreement approved prior to December 23,
2022, and mentors incurring costs pursuant
to a mentor-prote´ge´ agreement approved on
or after December 23, 2023, may be eligible
for—
(a) Credit toward the attainment of its
applicable subcontracting goals for
unreimbursed costs incurred in providing
developmental assistance to its prote´ge´
firm(s);
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(b) Reimbursement pursuant to the
execution of a separately priced contract line
item added to a DoD contract; or
(c) Reimbursement pursuant to entering
into a separate DoD contract upon
determination by the Director, OSBP, of the
cognizant military department or defense
agency that unusual circumstances justify
using a separate contract.
*
*
*
*
*
I–106 Development of Mentor-Prote´ge´
Agreements
*
*
*
*
*
(d) * * *
(1) * * *
(ii) Engineering and technical matters such
as production, inventory control,
manufacturing, test and evaluation, quality
assurance; acquisition or transfer of
hardware, tooling, or software; and
technology transfer and transition; and
*
*
*
*
*
(6) * * *
(vi) Manufacturing innovation institutes.
*
*
*
*
*
I–107 Elements of a Mentor-Prote´ge´
Agreement
*
*
*
*
*
(k) A program participation term for the
agreement that does not exceed 3 years. The
agreement may be extended for a period not
to exceed 2 years if approved by the Director,
OSBP, OUSD(A&S). The Director, OSBP, of
the cognizant military department or defense
agency will submit requests for an extension
of the agreement to the Director, OSBP,
OUSD(A&S) for approval. The request will
include a justification describing the unusual
circumstances that warrant a term in excess
of 3 years;
*
*
*
*
*
I–112.2 Program Specific Reporting
Requirements
*
*
*
*
*
[FR Doc. 2024–06005 Filed 3–25–24; 8:45 am]
BILLING CODE 6001–FR–P
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
50 CFR Part 648
[Docket No. 231215–0305; RTID 0648–
XD831]
ddrumheller on DSK120RN23PROD with RULES1
Fisheries of the Northeastern United
States; Summer Flounder Fishery;
Quota Transfer From Virginia to North
Carolina
National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Temporary rule; quota transfer.
AGENCY:
NMFS announces that the
Commonwealth of Virginia is
SUMMARY:
VerDate Sep<11>2014
15:55 Mar 25, 2024
Jkt 262001
transferring a portion of its 2024
commercial summer flounder quota to
the State of North Carolina. This
adjustment to the 2024 fishing year
quota is necessary to comply with the
Summer Flounder, Scup, and Black Sea
Bass Fishery Management Plan (FMP)
quota transfer provisions. This
announcement informs the public of the
revised 2024 commercial quotas for
Virginia and North Carolina.
DATES: Effective March 25, 2024 through
December 31, 2024.
FOR FURTHER INFORMATION CONTACT:
Laura Deighan, Fishery Management
Specialist, (978) 281–9184.
SUPPLEMENTARY INFORMATION:
Regulations governing the summer
flounder fishery are found in 50 CFR
648.100 through 648.111. These
regulations require annual specification
of a commercial quota that is
apportioned among the coastal states
from Maine through North Carolina. The
process to set the annual commercial
quota and the percent allocated to each
state is described in § 648.102, and the
final 2024 allocations were published
on December 21, 2023 (88 FR 88266).
The final rule implementing
amendment 5 to the Summer Flounder
FMP, as published in the Federal
Register on December 17, 1993 (58 FR
65936), provided a mechanism for
transferring summer flounder
commercial quota from one state to
another. Two or more states, under
mutual agreement and with the
concurrence of the NMFS Greater
Atlantic Regional Administrator, can
transfer or combine summer flounder
commercial quota under § 648.102(c)(2).
The Regional Administrator is required
to consider three criteria in the
evaluation of requests for quota transfers
or combinations: (1) the transfers or
combinations would not preclude the
overall annual quota from being fully
harvested; (2) the transfers address an
unforeseen variation or contingency in
the fishery; and (3) the transfers are
consistent with the objectives of the
FMP and the Magnuson-Stevens Fishery
Conservation and Management Act
(Magnuson-Stevens Act). The Regional
Administrator has determined these
three criteria have been met for the
transfer approved in this notification.
Virginia is transferring 11,004 pounds
(lb; 4,991 kilograms (kg)) to North
Carolina through a mutual agreement
between the states. This transfer was
requested to repay landings made by an
out-of-state permitted vessel under a
safe harbor agreement. The revised
summer flounder quotas for 2024 are:
Virginia, 1,865,937 lb (846,375 kg); and
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20877
North Carolina, 2,409,167 lb (1,092,780
kg).
Classification
NMFS issues this action pursuant to
section 305(d) of the Magnuson-Stevens
Act. This action is required by 50 CFR
648.102(c)(2)(i) through (iv), which was
issued pursuant to section 304(b), and is
exempted from review under Executive
Order 12866.
Authority: 16 U.S.C. 1801 et seq.
Dated: March 21, 2024.
Everett Wayne Baxter,
Acting Director, Office of Sustainable
Fisheries, National Marine Fisheries Service.
[FR Doc. 2024–06422 Filed 3–25–24; 8:45 am]
BILLING CODE 3510–22–P
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
50 CFR Part 679
[Docket No. 240227–0061; RTID 0648–
XD802]
Fisheries of the Exclusive Economic
Zone Off Alaska; Pacific Cod by
Catcher Vessels Greater Than or Equal
to 50 Feet Length Overall Using Hookand-Line Gear in the Central
Regulatory Area of the Gulf of Alaska
National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Temporary rule; closure.
AGENCY:
NMFS is prohibiting directed
fishing for Pacific cod by catcher vessels
greater than or equal to 50 feet (15.2
meters (m)) length overall using hookand-line (HAL) gear in the Central
Regulatory Area of the Gulf of Alaska
(GOA). This action is necessary to
prevent exceeding the A season
allowance of the 2024 Pacific cod total
allowable catch (TAC) apportioned to
catcher vessels greater than or equal to
50 feet (15.2 m) length overall using
HAL gear in the Central Regulatory Area
of the GOA.
DATES: Effective 1200 hours, Alaska
local time (A.l.t.), March 22, 2024,
through 1200 hours, A.l.t., June 10,
2024.
FOR FURTHER INFORMATION CONTACT:
Abby Jahn, 907–586–7416.
SUPPLEMENTARY INFORMATION: NMFS
manages the groundfish fishery in the
GOA exclusive economic zone
according to the Fishery Management
Plan for Groundfish of the Gulf of
Alaska (FMP) prepared by the North
SUMMARY:
E:\FR\FM\26MRR1.SGM
26MRR1
]]>Agencies
[Federal Register Volume 89, Number 59 (Tuesday, March 26, 2024)]
[Rules and Regulations]
[Pages 20874-20877]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-06005]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Chapter 2
[Docket DARS-2023-0037]
RIN 0750-AL84
Defense Federal Acquisition Regulation Supplement: DoD Mentor-
Prot[eacute]g[eacute] Program (DFARS Case 2023-D011)
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: DoD is issuing a final rule amending the Defense Federal
Acquisition Regulation Supplement (DFARS) to implement a section of the
James M. Inhofe National Defense Authorization Act for Fiscal Year 2023
that permanently authorizes and modifies the DoD Mentor-
Prot[eacute]g[eacute] Program.
DATES: Effective March 26, 2024.
FOR FURTHER INFORMATION CONTACT: Ms. Jeanette Snyder, 703-508-7524.
SUPPLEMENTARY INFORMATION:
I. Background
DoD published a proposed rule in the Federal Register at 88 FR
73306 on October 25, 2023, to implement section 856 of the James M.
Inhofe National Defense Authorization Act (NDAA) for Fiscal Year (FY)
2023 (Pub. L. 117-263). Section 856 transferred section 831 of the NDAA
for FY 1991 (Pub. L. 101-510) to 10 U.S.C. 4902 and authorized the DoD
Mentor-Prot[eacute]g[eacute] Program on a permanent basis. Section 856
also extends the term for program
[[Page 20875]]
participation and removes the term limitation for mentors to incur
costs under mentor-prot[eacute]g[eacute] agreements entered into after
December 23, 2022. Section 856 does not apply to mentor-
prot[eacute]g[eacute] agreements entered into prior to December 23,
2022. One respondent submitted a public comment in response to the
proposed rule.
II. Discussion and Analysis
DoD reviewed the public comment in the development of the final
rule. A discussion of the comment is provided, as follows:
A. Summary of Significant Changes From the Proposed Rule
There are no significant changes from the proposed rule.
B. Analysis of Public Comment
Comment: One respondent recommended the rule be amended to allow a
prot[eacute]g[eacute] to have more than one mentor at a time, as long
as the mentors are not competitors and do not have any conflicts of
interest. The respondent indicated that this would align with the Small
Business Administration (SBA) Mentor-Prot[eacute]g[eacute] Program
(MPP), which allows a prot[eacute]g[eacute] to have two mentors at the
same time.
Response: This rule implements section 856 of the NDAA for FY 2023,
which is codified at 10 U.S.C. 4902. Paragraph (c)(2) of 10 U.S.C. 4902
indicates that a prot[eacute]g[eacute] firm may not be party to more
than one mentor-prot[eacute]g[eacute] agreement concurrently. This
means that a prot[eacute]g[eacute] may have only one mentor during the
term of an agreement. Therefore, the proposed change is inconsistent
with the statute. However, because the statute allows a
prot[eacute]g[eacute] firm to participate in the DoD MPP for a 5-year
period beginning on the date the prot[eacute]g[eacute] firm enters into
its first mentor-prot[eacute]g[eacute] agreement, a
prot[eacute]g[eacute] may have more than one mentor during the 5-year
period as long as the prot[eacute]g[eacute] is not a party to more than
one mentor-prot[eacute]g[eacute] agreement at a time. For example, if a
prot[eacute]g[eacute] firm enters into a 2-year mentor-
prot[eacute]g[eacute] agreement with a mentor, then the
prot[eacute]g[eacute] firm could enter into another mentor-
prot[eacute]g[eacute] agreement with a different mentor after the
conclusion of the first agreement, as long as it did so within the 5-
year period and the second agreement does not extend beyond the 5-year
period from date the prot[eacute]g[eacute] firm entered into its first
mentor-prot[eacute]g[eacute] agreement. As such, a
prot[eacute]g[eacute] firm under the DoD MPP may still benefit from
having more than one mentor during its participation in the program.
C. Other Changes
Minor editorial changes are made in appendix I, section I-106.
III. Applicability to Contracts at or Below the Simplified Acquisition
Threshold (SAT), for Commercial Products (Including Commercially
Available Off-the-Shelf (COTS) Items), and for Commercial Services
This final rule amends the clause at DFARS 252.232-7005,
Reimbursement of Subcontractor Advance Payments--DoD Pilot Mentor-
Prot[eacute]g[eacute] Program, to remove the word ``Pilot'' from the
clause title. However, this final rule does not impose any new
requirements on contracts at or below the SAT, for commercial products
including COTS items, or for commercial services. The clause will
continue to not apply to acquisitions at or below the SAT, to
acquisitions of commercial products including COTS items, and to
acquisitions of commercial services.
IV. Expected Impact of the Rule
This final rule implements the permanent authorization of and
statutory amendments to the DoD Mentor-Prot[eacute]g[eacute] Program.
The purpose of the program is to provide incentives to DoD contractors
to furnish eligible small business concerns with assistance designed
to--
(1) Enhance the capabilities of small business concerns to perform
as subcontractors and suppliers under DoD contracts and other Federal
Government contracts and subcontracts; and
(2) Increase the participation of small business concerns as
subcontractors and suppliers under DoD contracts, other Federal
Government contracts, and contracts with commercial entities.
Therefore, this final rule will benefit small business concerns
that participate in the program by extending the opportunity to enter
into DoD Mentor-Prot[eacute]g[eacute] agreements and extending the term
of the agreements. This final rule is also expected to benefit large
entities and DoD by expanding the defense industrial base.
V. Executive Orders 12866 and 13563
Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess
all costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distributive impacts, and equity). E.O.
13563 emphasizes the importance of quantifying both costs and benefits,
of reducing costs, of harmonizing rules, and of promoting flexibility.
This is not a significant regulatory action and, therefore, was not
subject to review under section 6(b) of E.O. 12866, Regulatory Planning
and Review, as amended.
VI. Congressional Review Act
As required by the Congressional Review Act (5 U.S.C. 801-808)
before an interim or final rule takes effect, DoD will submit a copy of
the interim or final rule with the form, Submission of Federal Rules
under the Congressional Review Act, to the U.S. Senate, the U.S. House
of Representatives, and the Comptroller General of the United States. A
major rule under the Congressional Review Act cannot take effect until
60 days after it is published in the Federal Register. The Office of
Information and Regulatory Affairs has determined that this rule is not
a major rule as defined by 5 U.S.C. 804.
VII. Regulatory Flexibility Act
A final regulatory flexibility analysis has been prepared
consistent with the Regulatory Flexibility Act, 5 U.S.C. 601, et seq.
and is summarized as follows:
This final rule is necessary to implement section 856 of the James
M. Inhofe National Defense Authorization Act (NDAA) for Fiscal Year
(FY) 2023 (Pub. L. 117-263). Section 856 transferred section 831 of the
NDAA for FY 1991 (Pub. L. 101-510) to 10 U.S.C. 4902 and authorized the
DoD Mentor-Prot[eacute]g[eacute] Program on a permanent basis. Section
856 also extends the term for program participation and removes the
term limitation for mentors to incur costs under agreements entered
into after December 23, 2022. The objective of this rule is to
implement the permanent authorization of the DoD Mentor-
Prot[eacute]g[eacute] Program and to make other Program changes.
No significant issues were raised by the public comment in response
to the initial regulatory flexibility analysis.
The number of new DoD Mentor-Prot[eacute]g[eacute] agreements
entered into in FY 2021 was 50, with a total of 104 active agreements;
in FY 2022, 29 new agreements were entered into, with a total of 62
active agreements; and in FY 2023, 19 new agreements were entered into,
with a total of 69 active agreements. The average number of new
agreements entered into during the last three fiscal years was
approximately 33, with an average of 78 total active agreements per
fiscal year. DoD estimates 44 new agreements will be entered into in FY
2024, with a total of 76 active agreements in place. As of January 5,
2024, there are 62 unique small entities with active agreements. Since
the number of small entities that
[[Page 20876]]
will enter into new agreements is unknown, DoD cannot provide a more
precise estimate of the number of small entities to which this rule
will apply.
This final rule does not impose any new reporting, recordkeeping,
or other compliance requirements for small entities.
DoD did not identify any significant alternatives to the rule that
would accomplish the stated objectives of the statute and that would
minimize the significant economic impact of the rule on small entities.
DoD does not expect this rule to have a significant economic impact on
small entities. Any impact is expected to be beneficial.
VIII. Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. chapter 35) applies to this
final rule. However, these changes to the DFARS do not impose
additional information collection requirements to the paperwork burden
previously approved by the Office of Management and Budget (OMB) under
OMB Control Number 0704-0332, DoD Pilot Mentor-Prot[eacute]g[eacute]
Program.
List of Subjects in 48 CFR Parts 219, 232, and 252 and Appendix I
to Chapter 2
Government procurement.
Jennifer D. Johnson,
Editor/Publisher, Defense Acquisition Regulations System.
Therefore, 48 CFR parts 219, 232, and 252 and appendix I to chapter
2 are amended as follows:
0
1. The authority citation for 48 CFR parts 219, 232, and 252 and
appendix I to chapter 2 continues to read as follows:
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
PART 219--SMALL BUSINESS PROGRAMS
0
2. Revise the heading for subpart 219.71 to read as follows:
Subpart 219.71--DoD Mentor Prot[eacute]g[eacute] Program
0
3. Revise and republish section 219.7100 to read as follows:
219.7100 Scope.
This subpart implements the DoD Mentor-Prot[eacute]g[eacute]
Program (referred to as the Program) authorized under 10 U.S.C. 4902.
The purpose of the Program is to provide incentives for DoD contractors
to assist prot[eacute]g[eacute] firms in enhancing their capabilities
and to increase participation of such firms in Government and
commercial contracts.
219.7101 [Amended]
0
4. Amend section 219.7101 by removing ``Pilot''.
219.7103-1 [Amended]
0
5. Amend section 219.7103-1 by removing ``Pilot''.
219.7103-2 [Amended]
0
6. Amend 219.7103-2 in paragraph (b) by removing ``Pilot''.
0
7. Amend section 219.7104 by revising paragraphs (b) and (d) to read as
follows:
219.7104 Developmental assistance costs eligible for reimbursement or
credit.
* * * * *
(b) Before incurring any costs under the Program, mentor firms must
establish the accounting treatment of developmental assistance costs
eligible for reimbursement or credit. For mentor-prot[eacute]g[eacute]
agreements entered into prior to December 23, 2022, to be eligible for
reimbursement under the Program, the mentor firm must incur the costs
not later than September 30, 2026.
* * * * *
(d) For mentor-prot[eacute]g[eacute] agreements entered into prior
to December 23, 2022, developmental assistance costs incurred by a
mentor firm not later than September 30, 2026, that are eligible for
crediting under the Program, may be credited toward subcontracting plan
goals as set forth in appendix I. For mentor-prot[eacute]g[eacute]
agreements entered into on or after December 23, 2022, developmental
assistance costs that are eligible for crediting under the Program may
be credited toward subcontracting plan goals as set forth in appendix
I.
PART 232--CONTRACT FINANCING
232.412-70 [Amended]
0
8. Amend section 232.412-70 by removing ``Pilot''.
PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
9. Amend section 252.232-7005 by revising the section heading and
clause heading and date to read as follows:
252.232-7005 Reimbursement of Subcontractor Advance Payments--DoD
Mentor-Prot[eacute]g[eacute] Program.
* * * * *
Reimbursement of Subcontractor Advance Payments--DoD Mentor-
Prot[eacute]g[eacute] Program (Mar 2024)
* * * * *
0
10. Amend appendix I to chapter 2 by--
0
a. Revising the appendix heading.
0
b. In section I-100, revising paragraph (a) introductory text.
0
c. In section I-102--
0
i. In paragraph (a)(3)(i), removing ``$100 million'' and adding ``$25
million'' in its place;
0
ii. In paragraph (a)(3)(ii), removing ``or'';
0
iii. In paragraph (a)(3)(iii), removing the period and adding ``; or''
in its place; and
0
iv. Adding paragraph (a)(3)(iv).
0
d. Revising and republishing section I-103.
0
e. In section I-106--
0
i. Revising paragraph (d)(1)(ii); and
0
ii. Adding paragraph (d)(6)(vi).
0
f. In section I-107, revising paragraph (k).
0
g. In section I-108, in paragraph (a)(5), removing ``2 years'' and
adding ``3 years'' in its place.
0
h. In section I-109, in paragraph (b), removing ``Pilot''.
0
i. In section I-111, in paragraph (a), removing ``Director, OSBP'' and
adding ``Director, OSBP, OUSD(A&S) or the Director, OSBP'' in its
place.
0
j. In section I-112.2--
0
i. Revising the section heading;
0
ii. Removing paragraph (a)(3); and
0
iii. Redesignating paragraph (a)(4) as paragraph (a)(3).
The revisions and additions read as follows:
Appendix I to Chapter 2--Policy and Procedures for the DoD Mentor-
Prot[eacute]g[eacute] Program
I-100 Purpose
(a) This appendix implements the DoD Mentor-
Prot[eacute]g[eacute] Program (referred to as the Program)
authorized under 10 U.S.C. 4902. The purpose of the Program is to
provide incentives to DoD contractors to furnish eligible small
business concerns with assistance designed to--
* * * * *
I-102 Participant Eligibility
(a) * * *
(3) * * *
(iv) Is otherwise capable to assist in the development of
prot[eacute]g[eacute] firms and is approved by the Director OSBP,
OUSD(A&S).
* * * * *
I-103 Incentives for Mentors
Mentors incurring costs through September 30, 2026, pursuant to
a mentor-prot[eacute]g[eacute] agreement approved prior to December
23, 2022, and mentors incurring costs pursuant to a mentor-
prot[eacute]g[eacute] agreement approved on or after December 23,
2023, may be eligible for--
(a) Credit toward the attainment of its applicable
subcontracting goals for unreimbursed costs incurred in providing
developmental assistance to its prot[eacute]g[eacute] firm(s);
[[Page 20877]]
(b) Reimbursement pursuant to the execution of a separately
priced contract line item added to a DoD contract; or
(c) Reimbursement pursuant to entering into a separate DoD
contract upon determination by the Director, OSBP, of the cognizant
military department or defense agency that unusual circumstances
justify using a separate contract.
* * * * *
I-106 Development of Mentor-Prot[eacute]g[eacute] Agreements
* * * * *
(d) * * *
(1) * * *
(ii) Engineering and technical matters such as production,
inventory control, manufacturing, test and evaluation, quality
assurance; acquisition or transfer of hardware, tooling, or
software; and technology transfer and transition; and
* * * * *
(6) * * *
(vi) Manufacturing innovation institutes.
* * * * *
I-107 Elements of a Mentor-Prot[eacute]g[eacute] Agreement
* * * * *
(k) A program participation term for the agreement that does not
exceed 3 years. The agreement may be extended for a period not to
exceed 2 years if approved by the Director, OSBP, OUSD(A&S). The
Director, OSBP, of the cognizant military department or defense
agency will submit requests for an extension of the agreement to the
Director, OSBP, OUSD(A&S) for approval. The request will include a
justification describing the unusual circumstances that warrant a
term in excess of 3 years;
* * * * *
I-112.2 Program Specific Reporting Requirements
* * * * *
[FR Doc. 2024-06005 Filed 3-25-24; 8:45 am]
BILLING CODE 6001-FR-P
